I am going to a trade show in a month or two. I bought one of the standard backdrop things and needed some art for it. I was quickly told that all my attempts looked like bad powerpoint slides transferred to the backdrop. So I tried a site called 99designs. They have a whole pool of freelance designers that compete for simple jobs - logos, wordpress templates, backdrop art, etc. I committed $250 to a design contest for my backdrop (the site takes some cut of that and the rest is a prize for the winner). That was 2 days ago. At this moment I have 35 different designs sitting there for me to comment on and choose from. Almost any one would be acceptable, and many are fabulous.

This strikes me as a classic victory for the division of labor. I am getting what seems like a crazy amount of good work for $250, work I could not duplicate myself for 100x that. I suspect that some of this stuff is super-derivative and is banged out using simple tools in just a few minutes, but so what? They can do something fast that I can't do at all and we all benefit.

I am not particularly in opposition to or enthusiastic about the current transgender movement. On one hand, I have no problem with people managing their lives however they wish. I met Dr. Renee Richards in 1982, for example (she was coaching a Princeton tennis player I knew) and liked her. Deirdre Mccloskey is freaking brilliant, I wish I had met her. On the other hand, as with most social movements on the Left nowadays, mere tolerance and live-and-let-live acceptance is not enough -- the movement demands complete conformity, and mercilessly shames anyone even the least bit slow to discard 5000 years of social norms around gender. And the movement tends to descend into self-parody from time to time, such as demanding that tampons be provided to people who cannot possibly have a menstrual cycle.

Anyway, most of that is beside the point and is just background to an issue I was reminded of this weekend when I was visiting San Diego. As many of you know, my company operates public parks and campgrounds for the government. As such, we were largely subject to Obama-era orders that in Federally-owned bathrooms, people had to be allowed to use the bathroom that matched whichever gender they self-identified as (not necessarily the one matching their birth sex). Unlike in past rules, there was no requirement that the person had taken any surgical or hormonal steps to transition -- only a self-declaration was required.

I will have to admit that the most entertaining part of this new requirement was explaining modern gender theory to my employees and managers, who tend on average to be over 65-years-old and without a college degree. There were a lot of wide eyes and "wtf' expressions in the room. Their main concern seemed to be potentially allowing male sexual predators into the women's room. I explain to my employees that the extra risk here is trivial for a variety of reasons, but mainly because in practice this comes up vanishingly few times. There just are not that many transgender people in the world, and campground bathrooms have never been targets for a lot of sexual predation. Every single time I can remember our employees even being asked about our policy it turned out to be an activist testing us, probably to see if they could create grounds for a lawsuit.

From my experience, then, most public fears about transgender bathroom rules have turned out to be overblown. But, it turns out there is one issue that no one is talking about that could be a real, though not particularly serious, downside for women. Let me explain.

The one major change in the public bathroom world as a result of the transgender movement is the accelerating shift from having multi-stall female and male bathrooms to having single-stall, gender-neutral bathrooms. If bathrooms are all single-stall, then all the culture wars over gender and bathrooms are completely sidestepped. Every public bathroom I have seen a government agency build over the last 5 years has been of this new design, and our company's policy is only to build this sort of facility rather than the old two-sided male/female bathrooms. Here is an example from new construction at the children's pool in La Jolla:

OK, I am going to have to criticize one gender here but since I am going to criticize males, I will be OK. Men's bathroom habits are terrible -- we tend to pee all over the place. Even if the median guy is careful, the marginal guy is not and makes a total mess. We had this problem when my kids were young -- my wife would ask me to take our toddler daughter to the men's room with me and I would tell her that was impossible, that the men's toilets were likely awful. I can say from experience from cleaning over 1000 public bathrooms a day that men's rooms take way more cleaning than women's rooms.

So if one has these single stall bathrooms, they have to be cleaned a lot. On busy days, our staff cleans ours 4,5,6 or even more times a day. But there are many public agencies that apparently do not have the focus or resources to clean on this kind of frequency. The City of San Diego, or whoever cleans these bathrooms in La Jolla, clearly does not clean enough, because these bathrooms were disgusting. I did not really want to go in there and I could stand and do my business. My wife would never have gone in there.

So there you have it women -- something else to look forward to. That irritating long women's room line may become a thing of the past, but it could be replaced with much dirtier bathrooms.

This has been shared around a lot but I was very impressed with dolphins following strategies of deferred gratification that some humans I know would be challenged by.

At the Institute for Marine Mammal Studies in Mississippi, Kelly the dolphin has built up quite a reputation. All the dolphins at the institute are trained to hold onto any litter that falls into their pools until they see a trainer, when they can trade the litter for fish. In this way, the dolphins help to keep their pools clean.

Kelly has taken this task one step further. When people drop paper into the water she hides it under a rock at the bottom of the pool. The next time a trainer passes, she goes down to the rock and tears off a piece of paper to give to the trainer. After a fish reward, she goes back down, tears off another piece of paper, gets another fish, and so on. This behaviour is interesting because it shows that Kelly has a sense of the future and delays gratification. She has realised that a big piece of paper gets the same reward as a small piece and so delivers only small pieces to keep the extra food coming. She has, in effect, trained the humans.

Her cunning has not stopped there. One day, when a gull flew into her pool, she grabbed it, waited for the trainers and then gave it to them. It was a large bird and so the trainers gave her lots of fish. This seemed to give Kelly a new idea. The next time she was fed, instead of eating the last fish, she took it to the bottom of the pool and hid it under the rock where she had been hiding the paper. When no trainers were present, she brought the fish to the surface and used it to lure the gulls, which she would catch to get even more fish. After mastering this lucrative strategy, she taught her calf, who taught other calves, and so gull-baiting has become a hot game among the dolphins.

Most of the observed increase in global average temperatures since the mid-20th century is very likely due to the observed increase in anthropogenic GHG concentrations.[7] It is likely that there has been significant anthropogenic warming over the past 50 years averaged over each continent (except Antarctica)

I want to come back to this in a second, but here is a story the Bryan Caplan posted on his blog. He is quoting from Tetlock and Gardner's Superforecasting

In March 1951 National Intelligence Estimate (NIE) 29-51 was published. "Although it is impossible to determine which course of action the Kremlin is likely to adopt," the report concluded, "we believe that the extent of [Eastern European] military and propaganda preparations indicate that an attack on Yugoslavia in 1951 should be considered a serious possibility." ...But a few days later, [Sherman] Kent was chatting with a senior State Department official who casually asked, "By the way, what did you people mean by the expression 'serious possibility'? What kind of odds did you have in mind?" Kent said he was pessimistic. He felt the odds were about 65 to 35 in favor of an attack. The official was started. He and his colleagues had taken "serious possibility" to mean much lower odds.

Disturbed, Kent went back to his team. They had all agreed to use "serious possibility" in the NIE so Kent asked each person, in turn, what he thought it meant. One analyst said it meant odds of about 80 to 20, or four times more likely than not that there would be an invasion. Another thought it meant odds of 20 to 80 - exactly the opposite. Other answers were scattered between these extremes. Kent was floored.

Let's go back to the IPCC summary conclusion, which is quoted and used all over the place (no one in the media ever actually digs into the charts and analysis, they just stop at this quote). A few thoughts:

This kind of conclusion is typical of team process and perhaps is a reason that large teams shouldn't do scientific studies. We wouldn't have aspirin if 500 people all had to agree on a recommendation to allow it.

Climate alarmists often claim "consensus". Part of the way they get consensus is by excluding anyone who disagrees with them from the IPCC process and publication. But even within the remaining core, scientists have vast differences in how they evaluate the data. Consensus only exists because the conclusions use weasel words with uncertain meaning like "most" and "significant" (rather than a percentage) and "very likely" (rather than a probability).

Is "most" 51% or 95%? The difference between these two is almost a doubling of the implied temperature sensitivity to CO2 -- close to the magnitude of difference between lukewarmer and IPCC estimates. Many skeptics (including myself) think past warming due to man might be 0.3-0.4C which is very nearly encompassed by "most".

It may be that this uncertainty is treated as a feature, not a bug, by activists, who can take a word scientists meant to mean 51% and portray it as meaning nearly 100%.

For an example of this sort of thing taken to an extreme, arguably corrupt level, consider the original 97% global warming consensus survey which asked 77 scientists hand-selected from a pool of over 10,000 working on climate-related topics two questions. Answering yes to the two questions put you in the 97%. In the context of what was written above, note the wording:

That anything-but-scientific survey asked two questions. The first: “When compared with pre-1800s levels, do you think that mean global temperatures have generally risen, fallen, or remained relatively constant?” Few would be expected to dispute this…the planet began thawing out of the “Little Ice Age” in the middle 19th century, predating the Industrial Revolution. (That was the coldest period since the last real Ice Age ended roughly 10,000 years ago.)

The second question asked: “Do you think human activity is a significant contributing factor in changing mean global temperatures?” So what constitutes “significant”? Does “changing” include both cooling and warming… and for both “better” and “worse”? And which contributions…does this include land use changes, such as agriculture and deforestation?

Good Lord, I am a hated skeptic frequently derided as a denier and I would answer both "yes" and be in the 97% consensus. So would most all of the prominent science-based skeptics you have ever heard of.

Update: Well, apparently my lack of knowledge about the practice of law was particularly evident in the post below, as several readers let me know. From this source

Since 1978, attorneys in California criminal trials have been forbidden to exercise peremptory challenges based on a lawyerâs belief that certain individuals are biased because they are a member of a specific racial, ethnic or religious group. (People v. Wheeler (1978) 22 Cal.3d 258, 276, citing, Ca. Const., art. 1, § 16 [right to representative trial by jury drawn from cross-section of community], overruled in part by Johnson v. California (2005) 545 U.S. 162, 168-173 [125 S.Ct. 2410, 162 L.Ed.2d 129].) In 1986, the U. S. Supreme Court followed Californiaâs lead and held that jury challenges based on group bias violate the Equal Protection Clause of the Fourteenth Amendment. (Batson v. Kentucky (1986) 476 U.S. 79, 89 [106 S.Ct. 1712, 90 L.Ed.2d 69].) This has commonly become known as the "Wheeler/Batson" rule.

I don't want to be that guy whose point is disproved but who sticks by it anyway, but I stick by my point. It's not clear by the timing that Kaine's actions were even illegal at the time, and the narrative below shows Kaine as responding to behavior of the opposing attorney. If he did not at the time have access to Wheeler/Batson challenges, then his actions seem a reasonable response. Again, it would be interesting to hear from attorneys actually involved in trials, but are there many attorneys who don't think the racial makeup of a jury makes a difference, even if they have to be more subtle in managing it?

As an attorney in the 1980s, Tim Kaine once had three white jurors struck from hearing a case in which his client, an African-American, alleged she was discriminated against by the defendant, who was white, the Daily Beast reported Monday.

Kaine explained later that the move was aimed at securing more black people on the jury, thus increasing his client's odds of winning her housing discrimination suit.

The white defendant's attorney employed peremptory strikes on the day of the trial to have three black people removed from the pool of potential jurors, the Daily Beast report explained. Kaine responded in kind: He used peremptory strikes of his own to have three white jurors removed, and succeeded in getting one African-American onto the jury.

Kaine explained later in an article for the University of Richmond Law Review in 1989 that he believed having more black people on the jury would swing things in his client's favor, implicitly admitting the tactic was race-based.

I am not an attorney, but doesn't this happen pretty much every single day in every single court? This strikes me as about as surprising as a baseball manager substituting in a left-handed hitter to face a right-handed pitcher. I would think that given any sort of reasonable legal ethics, if Mr. Kaine thought this action would help his client, then he was virtually obligated to do it.

If one wants to lament that black and white jurors come to different sorts of verdicts for black plaintiffs and defendants, then I suppose one could rant about that but it's hardly Tim Kaine's fault. He has to deal with reality as it is. If you really wanted a racial gotcha story, imagine the facts reversed to something like "white defense lawyer refused to strike other whites from jury despite the fact it might have helped his black client."

Postscript: And yes, I know the Lefty SJW's would have gone apesh*t if a Republican candidate as an attorney had struck black jurors from a trial to help his white client, but that does not make the critique any more correct.

If I had to pick one topic or way of thinking that engineers and scientists have developed but other folks are often entirely unfamiliar with, I might pick the related ideas of error, uncertainty, and significance. A good science or engineering education will spend a lot of time on assessing the error bars for any measurement, understanding how those errors propagate through a calculation, and determining which digits of an answer are significant and which ones are, as the British might say, just wanking.

It is quite usual to see examples of the media getting notions of error and significance wrong. But yesterday I saw a story where someone actually dusted these tools off and explained why the Olympics don't time events to the millionths of a second, despite clocks that are supposedly that accurate:

Modern timing systems are capable of measuring down to the millionth of a second—so why doesn’t FINA, the world swimming governing body, increase its timing precision by adding thousandths-of-seconds?

As it turns out, FINA used to. In 1972, Sweden’s Gunnar Larsson beat American Tim McKee in the 400m individual medley by 0.002 seconds. That finish led the governing body to eliminate timing by a significant digit. But why?

In a 50 meter Olympic pool, at the current men’s world record 50m pace, a thousandth-of-a-second constitutes 2.39 millimeters of travel. FINA pool dimension regulations allow a tolerance of 3 centimeters in each lane, more than ten times that amount. Could you time swimmers to a thousandth-of-a-second? Sure, but you couldn’t guarantee the winning swimmer didn’t have a thousandth-of-a-second-shorter course to swim. (Attempting to construct a concrete pool to any tighter a tolerance is nearly impossible; the effective length of a pool can change depending on the ambient temperature, the water temperature, and even whether or not there are people in the pool itself.)

I look back on my original support for the war in Iraq and wonder how I made such a mistake. Part of it, I think, was getting sucked into a general nationalist enthusiasm that strikes me as similar in retrospect to the August madness at the start of WWI. But I also think I was scared away from the non-intervention position by the pathetic arguments and tactics adopted by some of the more prominent folks on the "peace" side of that debate. Ironically in college I experienced the flip side of this problem, often lamenting that the worst thing that could happen in any argument was to have someone incompetent try to jump in on my side.

I recall all of this because I was reading this post from Ken White where he is responding and giving advice to a student who was the subject of an earlier column. I really liked this bit:

We're in the middle of a modest conservative backlash and a resurgence of bigotry, both actual and arrested-adolescent-poseur. I believe a large part of this backlash results from the low quality of advocacy for progressive ideas. Much of that advocacy has become characterized by petulant whining and empty dogmatism. The message conveyed by too many of your generation is not that people should adopt progressive ideas because they are right or just, but that they should adopt them because that is what they are supposed to adopt because that is what right-thinking people adopt. That is irritating and ineffectual. Faced with an idea, I don't expect your generation to confront it. I don't expect you to explain how it's wrong, and win hearts and minds that your ideas are better. Rather, I expect you to assert that you should be protected from being exposed to the idea in the first place. That's disappointing and doesn't bode well for the success of progressive ideas (many of which I admire) in society. In short: if this is how you're going to fight for what you think is right, you're going to lose. Do better.

I find this election particularly depressing -- not just because the candidates are so disappointing (that has happened many times before) -- but because it has highlighted how large the anti-rational voter pool is, with both Sanders and Trump acting as attractors for them.

We are trying to use some of the available tools out there to better automate our application and onboarding process for employees. Though we are not a huge employer (about 350 part-time people) we hire and fire them all every year, so there is a lot of burden for our size on the HR system.

We are running into a frustrating issue. Most of our employees are older and often have limited computer skills, but we are getting past that. But we tend to hire couples, and it turns out in the over-50 set that couples often share the same email address. I can't even imagine having the same email address as my wife and having to filter through all of her business, but there it is. Unfortunately, in the world of web accounts, must vendors use the email address as the one reliable unique identifier for a person and thus use it for the user name or expect it to be unique.

This is throwing us for a loop. It is less of a problem in the application system because most of our couples just want to submit a single joint application anyway. But for onboarding, they each need their own W-4, I-9, etc. So they need separate user accounts.

The question then comes down to this for us: I can require them to get a second email address, but that is likely going to flummox some folks and require my manual intervention to help them. Do I thus cause more tech support issues for myself than I save from the automation itself?

No point here, just venting on a problem I have not figured out how to fix. And no fair saying stuff like "gmail is free and easy to sign up for, just make them get another gmail account." I have managers who do a fabulous job for me that it took me days to teach how to log into and use Gmail. A better and fairer comment would be "you have 20,000 applicants, make the application process require separate emails and even make it a little technically challenging so you limit your hiring pool to people who are better suited to using modern computer tools." And yes, that may in fact be our solution.

The bill, which is likely to become law in some form, would prohibit the commonly used "check boxes" on job applications that ask about past convictions. It also would forbid employers from asking questions about an applicant's criminal history until a conditional job offer has been tendered....

The bigger concern is lawsuits from job seekers. To be able to reject an applicant because of a past conviction, employers would have to go through a rigorous process that, if not followed, would result in the presumption that a business owner engaged in unlawful discrimination, Mr. Goldstein said.

“I think you’d see some increases in litigation, and this is not exactly a well-settled area of law,” he said.

Proponents say the bill would simply offer a clearer way for businesses to follow state law requiring employers to go through a multistep test to determine if an applicant's past criminal behavior correlates with the position being sought.

Additionally, the City Council bill would allow an applicant rejected because of a past crime seven days to respond. The job would have to be held open during that time.

An employer's failure to adhere to the process could lead to a fine of at least $1,000. In the bill's current form, the business would bear the burden of proof in any resulting lawsuit by the job applicant, Mr. Goldstein said.

“Rather than the normal context, we have the burden here shifting,” he said. “It would be on the employer to present clear and convincing evidence that it had not engaged in unlawful discrimination.”

Given that the burden of proof seems to be on businesses in employee lawsuits even when the playing field is supposed to be level, I shudder to think what a statutory burden of proof would mean. Likely an automatic win for any employee.

Given this, here is a question for you: Imagine that I hired a convicted felon who then committed a crime against one of my customers. Would I be shielded from liability because I had limited ability to screen out candidates who posed dangers to customers? HA! No way. The plaintiff's attorney for the customer would be in front of the jury making me look like Attila the Hun for not screening felons from my applicant pool, even as the government made that task effectively impossible.

That is the key to this law -- that proponents can claim that one can screen out felons "if appropriate to the job" but in fact the law makes it effectively impossible to do so without imposing staggering litigation costs on me. So we get the Leftist ideal - I can be sued by employees for screening out felons and I can simultaneously be sued by customers for not screening out felons.

One of the great dangers of historical analysis is applying our modern standards and ex post facto knowledge to analysis of historical decisions. For example, I see modern students all the time assume that the Protestant Reformation was about secularization, because that is how we think about religious reform and the tide of trends that were to follow a century or two later. But tell John Calvin's Geneva it was about secularization and they would have looked at you like you were nuts (If they didn't burn you). Ditto we bring our horror for nuclear arms developed in the Cold War and apply it to decision-makers in WWII dropping the bomb on Hiroshima. I don't think there is anything harder in historical analysis than shedding our knowledge and attitudes and putting ourselves in the relevant time.

Believe it or not, it does not take 300 or even 50 years for these problems to manifest themselves. They can occur in just four. Take the recent Halbig case, one of a series of split decisions on the PPACA and whether IRS rules to allow government subsidies of health care policies in Federal exchanges are consistent with that law.

The case, Halbig v. Burwell, involved the availability of subsidies on federally operated insurance marketplaces. The language of the Affordable Care Act plainly says that subsidies are only available on exchanges established by states. The plaintiff argued this meant that, well, subsidies could only be available on exchanges established by states. Since he lives in a state with a federally operated exchange, his exchange was illegally handing out subsidies.

The government argued that this was ridiculous; when you consider the law in its totality, it said, the federal government obviously never meant to exclude federally operated exchanges from the subsidy pool, because that would gut the whole law. The appeals court disagreed with the government, 2-1. Somewhere in the neighborhood of 5 million people may lose their subsidies as a result.

This result isnât entirely shocking. As Jonathan Adler, one of the architects of the legal strategy behind Halbig, noted today on a conference call, the government was unable to come up with any contemporaneous congressional statements that supported its view of congressional intent, and the statutory language is pretty clear. Members of Congress have subsequently stated that this wasnât their intent, but my understanding is that courts are specifically barred from considering post-facto statements about intent.

We look at what we know NOW, which is that Federal health care exchanges operate in 37 states, and that the Federal exchange serves more customers than all the other state exchanges combined. So, with this knowledge, we declare that Congress could not possibly meant to have denied subsidies to more than half the system.

But this is an ex-post-facto, fallacious argument. The key is "what did Congress expect in 2010 when the law was passed", and it was pretty clear that Congress expected all the states to form exchanges. In fact, the provision of subsidies only in state exchanges was the carrot Congress built in to encourage states to form exchanges. (Since Congress could not actually mandate states form exchanges, it has to use such financial carrots and stick. Congress does this all the time, all the way back to seat belt and 55MPH speed limit mandates that were forced on states at the threat of losing state highway funds. The Medicaid program has worked this way with states for years -- and the Obamacare Medicare changes follow exactly this template of Feds asking states to do something and providing incentives for them to do so in the form of Federal subsidies). Don't think of the issue as "not providing subsidies in federal exchanges." That is not how Congress would have stated it at the time. Think of it as "subsidies are not provided if the state does not build an exchange". This was not a bug, it was a feature. Drafters intended this as an incentive for creating exchanges. That they never imagined so many would not create exchanges does not change this fact.

It was not really until 2012 that anyone even took seriously the idea that states might not set up exchanges. Even as late as December 2012, the list was only 17 states, not 37. And note from the linked article the dissenting states' logic -- they were refusing to form an exchange because it was thought that the Feds could not set one up in time. Why? Because the Congress and the Feds had not planned on the Federal exchanges serving very many people. It had never been the expectation or intent.

If, in 2010, on the day after Obamacare had passed, one had run around and said "subsidies don't apply in states that do not form exchanges" the likely reaction would not have been "WHAT?!" but "Duh." No one at the time would have thought that would "gut the whole law."

Postscript: By the way, note how dangerous both the arguments are that opponents of Halbig are using

The implementation of these IRS regulations are so big and so far along that it would be disruptive to make them illegal. This means that the Administration is claiming to have the power to do anything it wants as long as it does it faster than the courts can work and makes sure the program in question affects lots of people

The courts should give almost unlimited deference to Administration interpretations of law. This means, in effect, that the Administration rather than the Courts are the preferred and default interpreter of law. Does this make a lick of sense? Why have a judiciary at all?

Many in New York’s professional and cultural elite have long supported President Obama’s health care plan. But now, to their surprise, thousands of writers, opera singers, music teachers, photographers, doctors, lawyers and others are learning that their health insurance plans are being canceled and they may have to pay more to get comparable coverage, if they can find it.

They are part of an unusual informal health insurance system that has developed in New York in which independent practitioners were able to get lower insurance rates through group plans, typically set up by their professional associations or chambers of commerce. That allowed them to avoid the sky-high rates in New York’s individual insurance market, historically among the most expensive in the country....

The predicament is similar to that of millions of Americans who discovered this fall that their existing policies were being canceled because of the Affordable Care Act. Thecrescendo of outrage led to Mr. Obama’s offer to restore their policies, though some states that have their own exchanges, like California and New York, have said they will not do so.

But while those policies, by and large, had been canceled because they did not meet the law’s requirements for minimum coverage, many of the New York policies being canceled meet and often exceed the standards, brokers say. The rationale for disqualifying those policies, said Larry Levitt, a health policy expert at the Kaiser Family Foundation, was to prevent associations from selling insurance to healthy members who are needed to keep the new health exchanges financially viable.

Siphoning those people, Mr. Levitt said, would leave the pool of health exchange customers “smaller and disproportionately sicker,” and would drive up rates.

Alicia Hartinger, a spokeswoman for the Centers for Medicare and Medicaid Services, said independent practitioners “will generally have an equal level of protection in the individual market as they would have if they were buying in the small-group market.” She said the president’s offer to temporarily restore canceled polices applied to association coverage, if states and insurers agreed. New York has no plans to do so.

Donna Frescatore, executive director of New York State of Health, the state insurance exchange, said that on a positive note, about half of those affected would qualify for subsidized insurance under the new health exchange because they had incomes under 400 percent of the poverty level, about $46,000 for an individual.

I still do not understand how anyone could consider it a "positive" that 50% of people who were previously self-reliant now become wards of the state.

About one-fourth of the people who have entered their income information on their applications were deemed eligible for subsidies on the exchanges (about 900,000 out of about 3.6 million), which is lower than the number we saw in October alone and remains really far from what was projected. The CBO projected that just 1 million out of the 7 million people to enroll in the exchanges in the first year would be ineligible for subsidies, so the ratio is way off from what was expected (15–75 vs. 75–25). I had some thoughts on that surprising fact a month ago, and I’ll add a couple now: Unsubsidized customers (basically, those above the national median income) are generally savvier and more likely to have the resources to enroll and make their payments ahead of time, so maybe this is understandable and doesn’t say anything about who will eventually enroll. On the other hand, it may demonstrate that the people to whom insurance was supposed to be expanded — the uninsured, who tend to be low-income and not well educated — aren’t getting to the exchanges at all, and covering them will be a much longer term project.

There is a huge, enormous analytical problem with this-- they are looking at entirely the wrong numbers. Incredibly, Meghan McArdle makes this same mistake, and I generally respect her analysis of things. I am going to pull out my summary chart of the Exchange numbers to try to make things clear (click to enlarge):

There are 3 major mistakes, each worse than the one before.

MISTAKE 1: The 3.6 million total applicants number is in line 3 (3,692,599). This is the wrong number. The number he should use is line 4, the number of people who have had their eligibility processed. So the denominator should be 3.1 million, not 3.6 million.

MISTAKE 2: He leaves out the Medicaid piece. Seriously, if we looking at numbers that are partially subsidized, why leave out numbers (Medicaid and CHIP) that are entirely subsidized? This means the applicants eligible for subsidy are 803,077 + 944,531 or 1,747,608 which is 56% of the processed applicant pool. The subsidy number may be lower than expected but I get the sense that the Medicaid percentage is higher than expected.

MISTAKE 3: They are looking at the application pool, not the sign-up or enrollment pool. That is understandable, because the Administration refuses to give the subsidy percentage breakdown of those who have selected a plan (a number which they certainly must have). My guess is that people are putting in applications just to see if they are eligible for subsidies. If not, they quit the exchange process and go back to their broker. That is what I will probably do (out of curiosity, I would never accept taxpayer money for something I am willing to pay for myself). The people who actually sign up for coverage are almost certainly going to skew more towards subsidized than does the applicant pool.

As I did in October, here are the Obamacare Exchange activity numbers to date, based on their recent report. Hopefully this presentation is a lot clearer than the report.

I know the nomenclature is kludgy, but it is the report that is a pain to work with. No CEO would ever let one of his business units get away with this garbage. The report shifts from visitors and applications to people covered by applications, presumably to pump the numbers up. This means, for example, that the 364,682 number of people who have selected a plan is actually the number of people covered by plans that have been selected (yeah, awkward, I know). Given that they have on average 2 people covered per plan in their application pool, the actual number of selected plans is half this number.

That is the kind of cr*p one has to put up with in this report. Further, there is no actual enrollment data, just number of people who have put a plan in their online shopping cart. Worse, they have a split of subdidized vs. unsubsidized in their applicant pool, but not for the plan selections. How many of the selected plans are subsidized. My bet is that it is a high percentage, which is why they won't tell us. Someday we will find that few of these people are actually selecting plans they intend to pay for with their own money.

A couple of weeks ago, I started losing hearing in one ear. A bit later, it started to hurt. Suspecting an infection, I called my ENT's office. They said they couldn't see me for four weeks, and would not let me switch to see anyone else in their 10-person practice (against their practice rules, which raises the question of, from a customer point of view, why there is any benefit to a large practice at all -- the large pool of doctors provides the illusion of more customer service capability but in fact the sole logic of the practice is cost-sharing of overhead and support staff). So eventually I just went to one of those walk-in urgent care clinics in a strip mall near me and had the GP there look at it. I found that I did in fact have an infection and got an antibiotic scrip and some drops and was told if it did not get better in 7 days, go see a specialist.

So it has been a week and the pain is mostly gone but I still have lost most of my hearing in the ear. So I tried to make an appointment at my ENT again -- 4 weeks. I described my situation, and said something seemed wrong. 4 weeks.

So I talked to two friends who are both semi-retired ENT's. They said to get my butt to a doctor ASAP because it could be nothing or it could be something really bad that needs immediate intervention. But no ENT would see me for weeks. So one of my friends said they would help me, but they needed audiology tests. Turns out, those are being scheduled 3 weeks out. I finally called in a favor with a friend of a friend and found someone to test me next Monday, just four days from now. Four days seems a long wait for something that could be an emergency, but it beats the hell out of 4 weeks.

This is what we have done to the practice of medicine. With a myriad of professional licensing requirements and regulatory burdens that raise the fixed cost of opening a practice, we have managed to simultaneously raise prices while limiting supply.

Kevin Drum thinks the mortgage interest deduction is unfair because people with bigger mortgages get bigger deductions. In particular, he is concerned that people with smaller deductions get no incremental benefit because these deductions are seldom larger than their default personal exemption.

But tax deductions are always going to be like this in a progressive system -- the rates are progressive and the fixed personal exemption is extremely progressive, so the combination of the two mean that tax deductions are going to preferentially help the rich more. This reminds me of the arguments in Colorado when tax law required a tax reduction and Democrats in the state legislature complained that people who don't pay taxes would be getting no benefits from this.

He tries to posit some silly alternative tax credit system, but why bother? Haven't we had enough of distortive tax breaks that favor a single industry and/or shift investment alarmingly into a particular pool of assets (thus increasing the risk of bubbles). Isn't the whole notion of tax-subsidizing home ownership but not rentals inherently regressive, no matter how the deduction or credit is calculated? Doesn't the labor market rigidity of home ownership most penalize lower income workers who get trapped in a certain geography by their home and cannot migrate for better wages, as blue collar workers have done in past recessions and recoveries?

Why wouldn't a good progressive like Drum be advocating for an elimination of the deduction altogether? Is this one of those coke-pepsi party things, where the Republicans have taken over the issue of limiting deductions so Democrats have to reflexively defend them, even if ideologically it would make more sense for them to promote their elimination?

NOTE: We had some sort of massive fail with the WordPress scheduler where this post failed to post at the scheduled time. For some reason, if it misses the scheduled minute it is supposed to post, it fails (it does not just post a minute late). So this is 3 days late and we likely won't have many folks join, but its free and a nice bracket site and you are welcome to join between now and tomorrow.

Back by popular demand is the annual Coyote Blog NCAA Bracket Challenge. Last year we had nearly 140 entries. Yes, I know that many of you are bracketed out, but for those of you who are self-employed and don’t have an office pool to join or who just can’t get enough of turning in brackets, this pool is offered as my public service.

Everyone is welcome, so send the link to friends as well. There is no charge to join in and I have chosen a service with the absolutely least intrusive log-in (name, email, password only) and no spam. The only thing I ask is that, since my kids are participating, try to keep the team names and board chat fairly clean.

We have upped later round scoring to try to keep things more competitive at the end. Special March Madness scoring bonus: If you correctly pick the underdog in any round (ie, the team with the higher number seed) to win, then you receive bonus points for that correct pick equal to the difference in the two team’s seeds. So don’t be afraid to go for the long-shots! The detailed rules are at the link.

Bracket entry appears to be open. Online bracket entry closes Thursday, March 21st at 12:18PM EDT. Be sure to get your brackets in early. Anyone can play — the more the better. Each participant will be allows to submit up to two brackets.

The USFS figured out a way to do this over 30 years ago, and only now are other agencies starting to copy the model (California State Parks just started using it this year, for example). The USFS, like most agencies, charges a fee for the public to visit certain parks or to use campgrounds. They found that they could not cover their high operating costs with just these user fees, and so had to use a lot of general fund money to keep the parks open. Many complain that public recreation user fees are too high, but typically they cover only about half the agency's costs to run the park. When general fund money started to go away, the USFS faced park closures, exactly the situation today in many state and local parks agencies.

The USFS found that private operators with a lower cost position and more flexibility could keep these parks open using just the user fees, and in fact actually pay the USFS some rent. So instead of having to subsidize the park's operation with tax money, the parks began to generate funds for the USFS.

It took decades to get this right. The USFS made mistakes in how they grouped parks into contracts, how they wrote the contracts, and how they did oversight. The private companies made operating mistakes and some failed financially at awkward times, since when this program started there did not exist a pool of experienced operators. But over the years, many of these problems have been worked out, and most privately-run sites operate to a standard at least as high as publicly-run parks. Here in Arizona, three of the top five highest-rated public campgrounds are operated by private companies in the USFS program.

At this conference, both private operators and agency people experienced with this model will describe how it works as well as years of hard-won lessons learned.

The conference is free to most government agency officials, academics, and media and we have obtained a really inexpensive $49 hotel rate (since by definition the agencies most interested in the model don't have much money). The web site that describes the agenda and logistics is here. Readers of this site who don't fit one of these categories but would still like to attend can email me at the link in the above site and I will get you in.

...for the first time that I can remember, this means that I have a personal stake in the election. It's not just that I find one side's policies more congenial in the abstract, but that one policy in particular could have a substantial impact on my life.

You see, I've never really intended to keep blogging until I'm 65. I might, of course. Blogging is a pretty nice job. But I'd really like to have a choice, and without Obamacare I probably won't. That's because I'm normal: I'm in my mid-50s, I have high blood pressure and high cholesterol, a family history of heart trouble, and a variety of other smallish ailments. Nothing serious, but serious enough that it's unlikely any insurance company would ever take me on. So if I decided to quit blogging when I turned 60, I'd be out of luck. I couldn't afford to be entirely without health insurance (the 4x multiplier that hospitals charge the uninsured would doom me all by itself), and no one would sell me an individual policy. I could try navigating the high-risk pool labyrinth, but that's a crapshoot. Maybe it would work, maybe it wouldn't.

But if Obamacare stays on the books, I have all the flexibility in the world. If I want to keep working, I keep working. If I don't, I head off to the exchange and buy a policy that suits me. No muss, no fuss.

Attempting to remind him of these comments, I commented today:

I'm confused here. A few weeks ago, didn't you say you support Obamacare because it let you retire early? You said you could not afford to quit working early without Obamacare, because you would need your work and income to pay for, what to you, is a vital good. Obamacare allows you to quit working earlier, presumably because other people, rather than you, will pay for at least a part of your health care with their labor.

I understand no one likes the word "moocher." But you came on these pages really proudly announcing that Obamacare allowed you to retire early while others labored to support your needs. What word would you suggest as an alternative, then, to describe this behavior?

(Yeah, I can predict the response. It's not the subsidy you want, just the community rating. Well, high premiums for 55-year-olds with pre-existing conditions are not some evil conspiracy, they reflect true cost to serve. Having a government mandate that you pay the premiums of a healthy 25-year-old when you are 60 and sick is still a subsidy, paid for with someone else's labor. As a minimum, 25-year-old minimum wage workers just entering the work force pay more when they are healthy so you can lead a life of indolence).

...for the first time that I can remember, this means that I have a personal stake in the election. It's not just that I find one side's policies more congenial in the abstract, but that one policy in particular could have a substantial impact on my life.

You see, I've never really intended to keep blogging until I'm 65. I might, of course. Blogging is a pretty nice job. But I'd really like to have a choice, and without Obamacare I probably won't. That's because I'm normal: I'm in my mid-50s, I have high blood pressure and high cholesterol, a family history of heart trouble, and a variety of other smallish ailments. Nothing serious, but serious enough that it's unlikely any insurance company would ever take me on. So if I decided to quit blogging when I turned 60, I'd be out of luck. I couldn't afford to be entirely without health insurance (the 4x multiplier that hospitals charge the uninsured would doom me all by itself), and no one would sell me an individual policy. I could try navigating the high-risk pool labyrinth, but that's a crapshoot. Maybe it would work, maybe it wouldn't.

But if Obamacare stays on the books, I have all the flexibility in the world. If I want to keep working, I keep working. If I don't, I head off to the exchange and buy a policy that suits me. No muss, no fuss.

So yes, this election matters, and it matters in a very personal way. It does to me, anyway. It's not just about gridlock as far as the eye can see.

I usually have a pretty thick skin for this type of stuff, but this got to me. I wrote:

Great. Those of us who are comfortable actually, you know, working to support ourselves look forward to subsidizing your future indolence. Sorry, I am not usually that much of a snarky jerk, but really, that is what you are celebrating. You are not celebrating some medical or scientific breakthrough that allows you to stay healthy at a lower cost. You are celebrating a system to force other people to pay for your body's maintenance. All so you don't have to support yourself for over a quarter of your life.

If you were to say that, "wow the health dice really rolled against me and I need help," few would begrudge you the help. But this notion of an indolent retirement is radically new. It is a product of our century's and our country's great wealth. Retirement is a luxury good. I have no problem with anyone consuming this luxury good out of their savings, but consuming it out of mine, and then crowing about it to my face, is highly irritating.

If I were a Republican, or if I had one iota of trust in them, I might write that this is what the election is about. Since I don't have such trust, I will instead merely highlight Drum's thoughts as a good representation of modern entitled thinking. For God sakes this guy is not even trying to use my money to escape, say, a coal mine early. He wants my cash to escape blogging early, perhaps the cushiest job there is (as indicated by the fact that many of us do it for no compensation what-so-ever).

Fortunately I am not vain, so that I can still post this terrible picture of myself. I am proudly holding the government-mandated flow restrictor I just removed from my most recent shower head purchase. I don't buy any shower head until I make sure it has a removable restrictor.

The Federal laws restricting shower head flows have got to be among the dumbest on the books. Some thoughts:

Water is not equally scarce everywhere. So why is everyone required to conserve? Why is the ideal flow rate the same in Seattle as in Phoenix?

Government policy for over a century has been to promote subsidized water prices that don't reflect its true scarcity (particularly to farmers). Then, having guaranteed overuse via its pricing actions, the government then implements silly laws like this to try to offset the harm from its meddling in prices.

We have a lawn in Phoenix that needs constant watering and a pool that evaporates so fast in the summer one can almost see the water level dropping. But the state's priority is to knock of a few gallons of water use from my shower.

With the low flow shower heads, it takes me three times longer to get the soap and shampoo off of me than with a full-flow head. So we cut the water rate by half, but extend shower times by three. And this helps, how? And don't even get me started on low-flow toilets

The last three hotel rooms I have stayed in have had double shower heads, to make up the lost flow from wimpy government-approved single heads. This process of cutting back on how much a single head can flow and then adding extra heads is incredibly dumb and wasteful.

I suspect this is all secret revenge from some English expat that wanted US showers to be as bad as those in Britain.

Wow, did I ever stink it up with my brackets over the weekend. Worst I have ever done, and it had nothing to do with missing the two 15-2 upsets (everybody missed those). The only good news is that I am ahead of my son Nic. My traditional bias against all schools Ohio definitely hurt me.

I am not sure who does it, but we have a reader who faithfully enters the President's bracket into the pool each year, and I must say that Barack does seem to know his college hoops.

UPDATE: Special congrats to Mike Langan, who due to the vagaries of the CoyoteBlog traditional scoring system is in second, but his bracket based on number of correct picks is actually in the top 50 of 88,000+ brackets at PickHoops.com.

Back by popular demand is the annual Coyote Blog NCAA Bracket Challenge. We typically have about 150 entries. Yes, I know that many of you are bracketed out, but for those of you who are self-employed and don’t have an office pool to join or who just can’t get enough of turning in brackets, this pool is offered as my public service.

Everyone is welcome, so send the link to friends as well. There is no charge to join in and I have chosen a service with the absolutely least intrusive log-in (name, email, password only) and no spam. The only thing I ask is that, since my kids are participating, try to keep the team names and board chat fairly clean.

Special March Madness scoring bonus: If you correctly pick the underdog in any round (ie, the team with the higher number seed) to win, then you receive bonus points for that correct pick equal to the difference in the two team’s seeds. So don’t be afraid to go for the long-shots! The detailed rules are here.

Bracket entry appears to be open. Online bracket entry closes Thursday, March 15th at 12:18pm EDT. Be sure to get your brackets in early. Anyone can play — the more the better. Each participant will be allows to submit up to two brackets.

A group of small-business proponents is asking the Legislature to guarantee startup money for Arizona enterprises.

The backers of a so-called Arizona Fund of Funds made their pitch to a handful of lawmakers Monday, saying businesses need government help to start hiring again.

That help should come in the form of tax credits, said John Kowalski, who is promoting the idea through the Arizona Growth Foundation, a group of venture capitalists working to bring more investment to the state.

The credits would be a safety net to encourage venture capitalists to invest in a pool of money that would be distributed to emerging businesses, said Kowalski, a former executive with the Arizona Small Business Association....

The government's role is to serve as a guarantor, through the tax credits, in case the investments don't yield the projected results.

While this is being sold as something for small business, what it looks like to me is just more of the same socialization of bankers' losses that helped get us into this financial mess. I suppose this "profits are mine if it makes money, losses are the governments if it loses money" never grows old for investment bankers and VC's, but why is anyone taking this seriously anymore?

Brad DeLong and Arnold Kling have been going back and forth on Fannie Mae and its culpability, or lack thereof, for worsening the recent bubble and financial crisis. DeLong originally argued, if I remember right, that the default rate for Fannie Mae conforming loans were not worse than those being bought by other groups. Kling argued that even their based default rate of 7% was awful (How do you make money on a pool of debt paying 5% if there is a 7% default rate). DeLong countered

Arnold Kling's response is simply not good. It is silly enough to make me think he has not thought the issues through. a 7% delinquency rate on a mortgage portfolio is horrible in normal times, but is actually very good if you are in a depression--ever our Lesser Depression. For an investment with a 15-year duration that's a cost of less than 50 basis points in a "black swan" near worst case scenario. A portfolio that does that well under such conditions is a solid gold one.

I may not be thinking about this right, but I think DeLong is making a mistake in this analysis. In the comments I wrote

First, I have no clue what a "reasonable" default rate is in a black swan event, and my guess is that, almost by definition, no one else does either.

However, it strikes me that DeLong's argument is a bit off. If mortgage default rates went up in an economic crisis that was wholly unrelated to mortgages, ie due to an oil shock or something, that would be one thing. But in this case, the black swan is in large part due to the mortgages issued. I guess it is sort of a chicken and egg problem, but the mortgages started defaulting before the depression, not the other way around, and helped precipitate the depression.

Remember, we are not talking about how well a portfolio survived the economic downturn. We are talking about if a portfolio contributed to the economic downturn.

Back by popular demand is the annual Coyote Blog NCAA Bracket Challenge. Last year we had over 140 entries. Yes, I know that many of you are bracketed out, but for those of you who are self-employed and don't have an office pool to join or who just can't get enough of turning in brackets, this pool is offered as my public service.

Everyone is welcome, so send the link to friends as well. There is no charge to join in and I have chosen a service with the absolutely least intrusive log-in (name, email, password only) and no spam. The only thing I ask is that, since my kids are participating, try to keep the team names and board chat fairly clean.

Special March Madness scoring bonus: If you correctly pick the underdog in any round (ie, the team with the higher number seed) to win, then you receive bonus points for that correct pick equal to the difference in the two team's seeds. So don't be afraid to go for the long-shots! The detailed rules are here.

Bracket entry appears to be open. Online bracket entry closes Thursday, March 17th at 12:00pm EDT. Be sure to get your brackets in early. Anyone can play -- the more the better. Each participant will be allows to submit up to two brackets.